First Home Savings Account (FHSA)

The FHSA is the newest and one of the most powerful tools. You can contribute up to $8,000 a year, to a $40,000 lifetime maximum. It works like the best of both worlds: your contributions are tax-deductible (like an RRSP), and when you withdraw the money to buy your first home, it comes out completely tax-free (like a TFSA). If you’re even a year or two away from buying, opening one early is well worth it.

RRSP Home Buyers' Plan (HBP)

The Home Buyers’ Plan lets you withdraw up to $60,000 from your RRSP (that’s $120,000 for a couple buying together) to put toward a first home, without paying tax on the withdrawal. You pay it back into your RRSP over 15 years. The funds need to have been in your RRSP for at least 90 days first, so a little planning helps.

Here’s the part a lot of people miss: you can use the FHSA and the HBP together. Between the two, an individual can access up to $100,000 in tax-advantaged savings toward a first home — a couple, quite a bit more.

First-Time Home Buyers' Tax Credit

This one is simple: eligible first-time buyers can claim the Home Buyers’ Amount at tax time, worth up to $1,500 back. It won’t buy the house, but it helps offset some of your closing costs the year you buy.

GST rebate on new homes

If you’re buying a newly built home, there’s a GST/HST rebate for first-time buyers — full relief on new homes up to $1 million and partial relief up to $1.5 million. This mainly applies to new construction rather than resale homes, so it’s worth asking about if a new build is on your radar.

What about Newfoundland-specific costs?

Good news locally: Newfoundland and Labrador doesn’t have a land transfer tax like some provinces. You will pay a registration fee when your deed is registered, which is based on the property’s value — your lawyer will give you the exact figure. Provincial and municipal programs come and go, so it’s always worth checking what’s currently available when you’re ready to buy.

A quick note & official sources

The figures here are current as of 2026 and are shared as a general reference only — program rules and dollar amounts change from year to year, so treat this as a starting point rather than the final word. When you’re getting serious, a good mortgage professional will confirm exactly what you qualify for — and I’m always happy to connect you with someone I trust and walk through the numbers together. In the meantime, you can estimate your monthly payment for any price and down payment with our mortgage calculator.

For the official details, see the Canada Revenue Agency’s pages on the First Home Savings Account (FHSA) and the Home Buyers’ Plan (HBP).